Crypto Circle Scholar: 12.28 Bitcoin Market Reshuffle: How to Avoid the Traps of Buying High and Selling Low!
Current Bitcoin price is 94,700, and it is now six o'clock in the morning Beijing time. Looking at the 99,800 short and then taking half of the profits at 96,000 is the right decision to continue watching for a downward trend. Not exiting when it broke 94,000, but choosing to take profits after it retraced and broke 94,000 is actually quite simple. Don't look for the bottom; I often say when shorting, don't think about taking profits at the lowest point, just take profits at the retracement point. This is my trading habit, and I hope it will become yours as well.
It's almost six o'clock, and the daily K-line continues to show bearish candles, just as predicted yesterday, it retraced and briefly broke the EMA30 trend resistance at 97,000. After inducing buying, it plunged down, breaking the previous low of 95,000. The golden ratio 0.236 support at 94,400 has already been broken. Although it has returned above the retracement line, the bearish momentum has formed. Pay attention to the next support point, the key EMA60 at 91,200. If it breaks the previous low after today's opening, the DIF will enter below the 0 axis, forming a polarization with the EMA. The daily K-line has reached the Bollinger Bands lower support above 92,600, so the strategy is to try to go south after a pullback above 95,000.
The four-hour K-line indicators are bearish, the EMA trend line continues downward, EMA15 support has come to 96,000, MACD volume contraction continues downward, and DIF and DEA have not yet broken the contracted indicators. The Bollinger Bands have been consolidating with K-line consistently above the lower support at 93,900. Some traders have already entered at 93,500. It is recommended to pay attention to the key resistance above at 95,500; if it holds, consider taking profits and going south.
Short-term strategy reference: There are no guarantees in trading, so always set stop-losses; safety is the priority. The goal is to minimize losses while maximizing profits.
For going north, entry point is between 93,000 and 92,000, with a defense at 91,000, stop-loss at 500 points, target looking at 94,500 to 95,500, and if it breaks, look at 96,500 to 97,000.
For going south, entry point is between 95,500 and 96,000, with a defense at 96,500, stop-loss at 500 points, target looking at 94,500 to 93,500, and if it breaks, look at 93,000 to 92,000.
I am a warrior in the crypto circle committed to protecting retail investors. I wish my fans financial freedom in 2024. Let's work hard together!